Ginkgo Bioworks (NYSE:DNA) Shares Down 8.5% - What's Next?

Key Points

• Ginkgo Bioworks' stock saw a significant decline of 8.5% on Tuesday, trading at $11.60 after closing at $12.67, with trading volume down by 47% compared to its daily average.
• Wall Street analysts have mixed ratings for Ginkgo Bioworks, with a consensus price target of $9.50 and two analysts rating it as a "buy" while one rates it as a "sell."
• The company reported a revenue of $49.60 million for the recent quarter, exceeding expectations, but had a negative return on equity of 43.25% and a high net margin of -136.56%.

Shares of Ginkgo Bioworks Holdings, Inc. (NYSE:DNA - Get Free Report) were down 8.5% on Tuesday . The stock traded as low as $11.74 and last traded at $11.60. Approximately 809,540 shares traded hands during trading, a decline of 47% from the average daily volume of 1,530,697 shares. The stock had previously closed at $12.67.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on DNA. BTIG Research boosted their price target on Ginkgo Bioworks from $6.00 to $9.00 and gave the company a "sell" rating in a research note on Monday, August 25th. Cowen reaffirmed a "buy" rating on shares of Ginkgo Bioworks in a report on Friday, August 8th. Finally, Wall Street Zen upgraded Ginkgo Bioworks from a "sell" rating to a "hold" rating in a research note on Saturday. Two investment analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $9.50.

Ginkgo Bioworks Price Performance

The stock has a 50-day moving average price of $12.01 and a 200 day moving average price of $9.29. The firm has a market cap of $659.43 million, a price-to-earnings ratio of -1.90 and a beta of 1.50.

Ginkgo Bioworks (NYSE:DNA - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported ($1.10) EPS for the quarter, topping analysts' consensus estimates of ($1.44) by $0.34. Ginkgo Bioworks had a negative return on equity of 43.25% and a negative net margin of 136.56%.The business had revenue of $49.60 million for the quarter, compared to analysts' expectations of $41.60 million. Ginkgo Bioworks has set its FY 2025 guidance at EPS. As a group, equities research analysts predict that Ginkgo Bioworks Holdings, Inc. will post -10.02 earnings per share for the current year.

Institutional Trading of Ginkgo Bioworks

Hedge funds and other institutional investors have recently made changes to their positions in the company. Raymond James Financial Inc. purchased a new position in shares of Ginkgo Bioworks during the second quarter worth about $29,000. US Bancorp DE grew its holdings in shares of Ginkgo Bioworks by 43.5% during the first quarter. US Bancorp DE now owns 6,302 shares of the company's stock worth $36,000 after buying an additional 1,911 shares during the last quarter. Ameritas Investment Partners Inc. purchased a new position in shares of Ginkgo Bioworks during the second quarter worth about $45,000. CWM LLC grew its holdings in shares of Ginkgo Bioworks by 667.6% during the first quarter. CWM LLC now owns 12,274 shares of the company's stock worth $70,000 after buying an additional 10,675 shares during the last quarter. Finally, Daiwa Securities Group Inc. purchased a new position in shares of Ginkgo Bioworks during the second quarter worth about $71,000. Institutional investors and hedge funds own 78.63% of the company's stock.

About Ginkgo Bioworks

Ginkgo Bioworks Holdings, Inc, together with its subsidiaries, develops platform for cell programming in the United States. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. It serves pharma and biotech, agriculture, industrial and environment, food and nutrition, consumer and technology, and government and defense industries.

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